Reproduction of fixed assets in the Republic of Sakha (Yakutia): an analysis of the state and direction of development

Fixed capital is an important component of any business. It provides long-term benefits that positively impact financial performance. One of the significant benefits of investing in fixed assets is that it helps improve the efficiency and productivity of a business entity. For example, investing in modern equipment or machines allows you to increase production speed, reduce losses, reduce maintenance costs, and create the prerequisites for the long-term sustainable development of any company. The provision of fixed assets, their general condition, and technological level determine the competitiveness of the national economy. This article, in addition to some theoretical aspects that form the basis for the study, presents an assessment of the state of fixed assets in the Republic of Sakha (Yakutia) in comparison with all-Russian indicators. In general, with regard to the state and development of fixed capital, the situation in the Republic of Sakha (Yakutia) is quite favorable; however, if we consider the emerging trends from an industry perspective, significant disproportions become obvious both in the structure of investments and in the rate of reproduction of fixed assets. Such industries as construction, information and communications, and manufacturing are characterized by a high degree of depreciation of fixed assets in the Republic of Sakha (Yakutia). However, the areas of greatest interest to investors are subsoil use, as well as cargo transportation and storage. The purpose of investment in most cases is not technological development, which leads to qualitative changes and is the basis for the sustainable development of enterprises, but simple reproduction.